Are Ontario settlement agreements automatically confidential?

No, settlement agreements are not automatically confidential in Ontario. Unless the parties expressly include a confidentiality or non-disclosure clause in their settlement agreement, either party is generally free to discuss the settlement and its terms.

Many settlement agreements do include confidentiality provisions, especially in employment disputes, personal injury cases involving companies, and commercial matters where one or both parties want to prevent disclosure of the settlement amount or the underlying facts. A confidentiality clause typically prohibits both parties from disclosing the existence, terms, or amount of the settlement to third parties, with exceptions for legal and financial advisers and as required by law.

There are limits. Courts in Ontario can require disclosure of settlement terms in certain circumstances — for example, in family law proceedings where the settlement affects a child's interests, or in class actions where public notice is required. Tax reporting obligations to the CRA also apply regardless of any confidentiality clause. If confidentiality is important to you, make sure the clause is drafted precisely, covers the right people, and includes appropriate remedies if either side breaches it. A lawyer can help tailor the language to your situation.